---
kind: "section"
citation: "7 U.S.C. § 918"
title: "7"
title_heading: "Agriculture"
number: "918"
heading: "General prohibitions"
release: "119-102"
url: "https://uscodex.org/usc/7/918"
units:
  - "Chapter 31 — Rural Electrification and Telephone Service"
  - "Subchapter I — Rural Electrification"
---

# §918. General prohibitions

- (a) **No consideration of borrower’s level of general funds—** The [Secretary](/usc/7/913.md?p=5) shall not deny or reduce any loan or loan advance under this chapter based on a [borrower](/usc/7/1991.md?p=b-1)’s level of general [funds](/usc/7/4531.md?p=5).
- (b) **Loan origination fees—** The [Secretary](/usc/7/913.md?p=5) may not charge any fee or charge not expressly provided in this chapter in connection with any loan made or guaranteed under this chapter.
- (c) **Consultants—**
  - (1) **In general—** To facilitate timely action on applications by [borrowers](/usc/7/1991.md?p=b-1) for financial assistance under this chapter and for approvals required of the [Rural](/usc/7/1991.md?p=a-13-B) Electrification Administration pursuant to the terms of outstanding loan or security instruments or otherwise, the [Secretary](/usc/7/913.md?p=5) may use consultants funded by the [borrower](/usc/7/1991.md?p=b-1), paid for out of the general [funds](/usc/7/4531.md?p=5) of the [borrower](/usc/7/1991.md?p=b-1), for financial, legal, engineering, and other technical advice and services in connection with the review of the application by the [Rural](/usc/7/1991.md?p=a-13-B) Electrification Administration.
  - (2) **Conflicts of interest—** The [Secretary](/usc/7/913.md?p=5) shall establish procedures for the selection and the provision of technical services by consultants to ensure that the consultants have no financial or other conflicts of interest in the outcome of the application of the [borrower](/usc/7/1991.md?p=b-1).
  - (3) **Payment of costs—** The [Secretary](/usc/7/913.md?p=5) may not, without the consent of the [borrower](/usc/7/1991.md?p=b-1), require, as a condition of processing an application for approval, that the [borrower](/usc/7/1991.md?p=b-1) agree to pay the costs, fees, and expenses of consultants hired to provide technical or advisory services to the [Secretary](/usc/7/913.md?p=5).
  - (4) **Contracts, grants, and agreements—** The [Secretary](/usc/7/913.md?p=5) may enter into such [contracts](/usc/7/518.md?p=4), grants, or cooperative agreements as are necessary to carry out this section.
  - (5) **Use of consultants—** Nothing in this subsection shall limit the [authority](/usc/7/2009aa.md?p=1) of the [Secretary](/usc/7/913.md?p=5) to retain the services of consultants from [funds](/usc/7/4531.md?p=5) made available to the [Secretary](/usc/7/913.md?p=5) or otherwise.

## Source credit

(May 20, 1936, ch. 432, title I, § 18, as added Pub. L. 101–624, title XXIII, § 2353, Nov. 28, 1990, 104 Stat. 4039; amended Pub. L. 103–129, § 2(c)(4), Nov. 1, 1993, 107 Stat. 1364; Pub. L. 103–354, title II, § 235(a)(13), Oct. 13, 1994, 108 Stat. 3221; Pub. L. 115–334, title VI, § 6602(b)(1), Dec. 20, 2018, 132 Stat. 4776.)

## Notes

### Editorial Notes

### Amendments

2018—Subsecs. (a), (b). Pub. L. 115–334 struck out “and the Governor of the telephone bank” after “The Secretary”.

1994—Pub. L. 103–354 substituted “Secretary” for “Administrator” wherever appearing.

1993—Pub. L. 103–129 designated existing provisions as subsec. (a), inserted heading, and added subsecs. (b) and (c).